Visma ‘eyes delay’ to €19bn IPO after software stocks’ AI wobble
Visma is considering delaying its €19 billion IPO due to negative market sentiment following an AI-driven sell-off in software stocks.Summary
Software stocks experienced a partial recovery after a market sell-off triggered by new artificial intelligence applications from Anthropic. Despite the rebound, valuations remained significantly lower than the previous year, prompting Visma, a software company backed by Hg Capital, to consider postponing its potential €19 billion IPO in London. The Financial Times first reported this potential delay, citing poor sector sentiment. Anthropic’s release of AI tools automating legal work and other tasks caused a global sell-off in related sectors. Hg Capital acknowledged a “step change” in performance from recent AI products, but emphasized the continued advantage of established software developers. Analysts at JP Morgan and Deutsche Bank believe the market reaction was disproportionate and prices will revert to fundamentals. Wedbush analysts suggest customer data security concerns will limit AI adoption. Hg’s chairman, Matthew Brockman, noted a shift in spending from traditional software to AI, but highlighted the advantages held by incumbent software companies due to their existing workflows, data, and expertise.
(Source：The Sunday Times)
